Question 1:
(a) Discuss the relationship that exists between financial capital and physical capital.
(b) Analyse how a stock-market crash would drive an economy into a recession.
(c) Examine and evaluate the factors that determine the demand for a firm's capital.
Question 2:
(a) Under what circumstances may the value of the Rupee depreciate?
(b) What implications would a depreciation of the Rupee have on the profitability of an organisation involved in foreign trade?
(c) Evaluate the policies that could be used to arrest a continuing depreciation of the Rupee.